A new lawsuit has just been added to the three that have already been brought against the Ripple company. Communications from the company remain largely positive, however, and the watchword is trust. Will this be enough?
Ripple facing a new trial
Ripple’s new trial is from Florida. Investor Tyler Toomey is seeking justice for reasons similar to those put forward by other plaintiffs who accuse Ripple at this time. The official document explains as follows:
„[Ripple] has sold millions of dollars (or more) of XRP tokens, which are securities according to the laws of Florida , from Florida investors, without saving as such s the authorities. “
The man accuses Ripple of having sold Bitcoin Evolution in a massive way to continue to be profitable:
“The majority of Ripple’s revenue comes from XRP sales (over $ 1 billion) and Ripple has relied on those sales to fund its operations. “
In addition, Brad Garlinghouse is appointed directly. He is also accused of having encouraged investors to buy XRP, while he himself was making a fortune by selling his assets . According to the prosecution, he would have deliberately manipulated the price on several occasions:
“Between April 2017 and December 2019, Brad Garlinghouse also paused his sales of XRP because the price was dropping, trying not to push the market price down further. “
In the west, nothing is new
Nothing new therefore for this trial, which is in line with the other accusations against Ripple. Bradley Sostack sued the company for similar reasons in 2018. Since then, the SEC has dealt the biggest blow to the company , last December. It had triggered a wave of delisting for XRP. More recently, Tetragon had also attacked Ripple , wanting to buy back its shares in the company.
Brad Garlinghouse was however reassuring in an official communication published in recent days. Drawing a generally positive result for the year 2020, he recalls that the company has landed 15 new clients since the SEC trial , a sign that Ripple continues to be attractive:
“Client interest around the world remains very high – the team continues to get 2 new clients per week, in over 40 countries. “
XRP that does not rise
It is true that the strength of Ripple, whose XRP has long been the third most important cryptocurrency in terms of capitalization, prevents it from diving too deep. But will it last?
Since the announcement of the SEC, the active Ripple has lost – 50% of its value . XRP is worth $ 0.26 this morning, and the cryptocurrency’s market cap, at $ 12 billion, is now more widely surpassed than Polkadot’s DOT, at $ 15 billion. The coming months are therefore going to be particularly crucial for Ripple and XRP.